A credit crunch is a period when lenders are unwilling to provide loans to borrowers. Generally a lender will extend credit to a borrower under the assumption they will be paid back with interest. But when the economy is bad, lenders become hesitant to make loans for fear of losing their money.
Posts Tagged ‘borrower’
A Credit Crunch is…
Wednesday, July 27th, 2011A Borrower is…
Thursday, November 5th, 2009A borrower is someone to whom money is lent with the expectation that it will be paid back. If you’re not planning on paying it back, it’s either a gift or you’re stealing.
A Lender is…
Tuesday, October 27th, 2009A lender is any person or business that makes loans. A lender gives a borrower money because the lender expects to be paid back not only the initial amount he or she lent – the principal – but also interest.